4 Using the information from Question #3, assume that 50% of the bonds were retired on...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
4 Using the information from Question #3, assume that 50% of the bonds were retired on July 1, 2014 at 90. (15 points) a Calculate the gain (loss) on the retirement b Make the journal entry to record the bond retirement on July 1, 2014 3 On January 1, 2012 Everhart Corporation, a calendar year company, issues $100,000, 5%, 5 year bonds dated January 1, 2012. The bonds pay interest semiannually January 1 and June 30. The bonds are issued to yield 6%. (35 points) 2.50% 5.00% 3.00% 6.00% Present Value of $1 for 5 periods 0.883850 0.862610 0.783530 0.747260 Present Value of $1 for 10 periods Present Value of Ordinary Annuity of $1 for 5 periods 0.781200 0.744090 0.613910 0.558390 4.464583 4.579710 4.329480 4.421236 Present Value of Ordinary Annuity of $1 for 10 periods 8.752060 8.530200 7.721730 7.360090 4 Using the information from Question #3, assume that 50% of the bonds were retired on July 1, 2014 at 90. (15 points) a Calculate the gain (loss) on the retirement b Make the journal entry to record the bond retirement on July 1, 2014 3 On January 1, 2012 Everhart Corporation, a calendar year company, issues $100,000, 5%, 5 year bonds dated January 1, 2012. The bonds pay interest semiannually January 1 and June 30. The bonds are issued to yield 6%. (35 points) 2.50% 5.00% 3.00% 6.00% Present Value of $1 for 5 periods 0.883850 0.862610 0.783530 0.747260 Present Value of $1 for 10 periods Present Value of Ordinary Annuity of $1 for 5 periods 0.781200 0.744090 0.613910 0.558390 4.464583 4.579710 4.329480 4.421236 Present Value of Ordinary Annuity of $1 for 10 periods 8.752060 8.530200 7.721730 7.360090
Expert Answer:
Answer rating: 100% (QA)
3 Working notes Calculation PV factor PV of Amount at 3 Cash flows Face value Cash Interest Issue pr... View the full answer
Related Book For
Posted Date:
Students also viewed these accounting questions
-
Exercise 7-18 On July 1, 2014, Agincourt Inc. made two sales. 1. It sold land having a fair value of $901,000 in exchange for a 4-year zero-interest-bearing promissory note in the face amount of...
-
For each company, prepare the necessary journal entry to record the exchange. (The exchange has commercial substance.) (Credit account titles are automatically indented when amount is entered. Do not...
-
Using the information from the alphabetized post-closing trial balance below, prepare a classified balance sheet for Ialta Industries Inc. as at October 31, 2014. Be sure to use proper form,...
-
3. (15 pts.) The random variables X and Y have joint density function fxx(x, y) x-?y?, x > 1, y > 1. Compute the cdf and pdf of the random variable U = XY.
-
Does an unrealized gain or loss on trading securities require recognition in a statement of cash flows? Would your answer change if the securities are classified as available-for-sale?
-
If BAC = $12,000 and CPI = 1.2, what is the variance at completion? A. $2000 B. +$2000 C. $3000 D. +$3000
-
The pressure distribution on the 1-m-diameter circular disk in Fig. P9.5 is given in the table. Determine the drag on the disk. Figure P9.5 r (m) p (kN/m) 0 4.34 0.05 4.28 0.10 4.06 0.15 3.72 0.20...
-
The information below pertains to October production at Zippy Company's bottling plant, which produces and bottles sports drinks. Each unit consists of a case of 12 bottles: Required(a) Using the...
-
Determine whether the planes are parallel, perpendicular, or neither. x + 7y-z = 7, 7x-7y + z = 1 parallel O perpendicular O neither If neither, find the angle between them. (Use degrees and round to...
-
The following table summarizes the operating results for Bene Petits first year of operations: Bene Petit First year operating data: Single (1 serving) Dual (2 servings) Family (4 servings) Total...
-
On June 1, 2019, YODA CORP. acquired a 5-year, 10%, P1,000,000 face value bonds at 92. The company paid broker's fees and non-refundable taxes amounting to P118,896. As a result, yield rate on the...
-
Sara-J Co. has a preferred stock outstanding that pays annual dividends of $3.50 a share. At what price would this stock be trading if market yields were 7.5%? Use one of the dividend valuation...
-
A bumblebee can sense electric fields as the fields bend hairs on its body. Bumblebees have been conclusively shown to detect an electric field of 60 N/C. Could a bumblebee use this sense to detect...
-
Students in an introductory physics lab are producing a region of uniform electric field by applying a voltage to two 20-cmdiameter aluminum plates separated by 2.5 cm. They connect the two plates to...
-
Assume you have a sizable gain on 200 shares of stock that you bought 2 years ago for \($22\) per share and that is now (December 15) selling for \($50\) per share. Given a just announced tax rate...
-
Ibrahim bought 200 shares of a stock trading in the Abu Dhabi Securities Exchange at AED 12 (United Arab Emirates dirham) per share. Over time, the price of the stock increased to AED 18 per share....
-
_______ is defined as adequate performance on tasks requiring the use of tools, equipment, and machinery. Group of answer choices Perfection Intelligence Knowledge Skill
-
The Taylor's series expansion for cosx about x = 0 is given by: where x is in radians. Write a user-defined function that determines cosx using Taylor's series expansion. For function name and...
-
Extractor Company leased a machine on July 1, 2015, under a 10-year lease. The economic life of the machine is estimated to be 15 years. Title to the machine passes to Extractor Company at the...
-
On January 3, 2014, Airflow Corporation, a company selling stunt kites, purchased a large number of personal computers. The cost of these computers was $85,000. On the date of purchase, Airflow's...
-
The company has assembled the following partial balance sheet data. Long-term assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $30,000...
-
On 1 January 2023, Blue Jay Ltd revalued land from \(\$ 300000\) to \(\$ 500000\). On 1 January 2024, the company subsequently revalued the land to \(\$ 420000\). And on 1 January 2025 , the company...
-
The following data from Lyre Ltd's accounts relates to two assets at 30 June 2023. At 30 June 2023 Lyre Ltd decides to adopt the revaluation model for both these assets. On this date land has a fair...
-
Crane Ltd has proposed that the company adopt the revaluation model for fixed assets. Some of these assets are hard to obtain and certain items have increased in value in the current period, however...
Study smarter with the SolutionInn App